Pioneer Natural Resources Company Announces Plans to Divest South Texas, Raton and West Panhandle Assets
Pioneer Natural Resources Company (NYSE:PXD) (“Pioneer” or “the
Company”) today announced that it plans to divest its properties in
South Texas, Raton and the West Panhandle field.
Pioneer’s predominant asset in South Texas is its Eagle Ford Shale
acreage where the Company holds approximately 70,000 net acres. All of
this acreage is held by production. The Eagle Ford assets being sold
represent all of Pioneer’s 46% working interest in the play, including
its producing wells and associated infrastructure. Net production from
this asset averaged approximately 27 thousand barrels oil equivalent per
day (MBOEPD) during the fourth quarter of 2017, consisting of
approximately one-third oil, one-third natural gas liquids (NGLs) and
one-third gas. In addition, Pioneer will separately divest its acreage
in the Sinor Nest Wilcox field.
The Raton assets being sold represent all of Pioneer’s interests in the
field, including all of its producing gas wells and all other associated
infrastructure. Net production from Raton averaged approximately 86
million cubic feet of gas per day during the fourth quarter of 2017.
The West Panhandle properties are located in the panhandle region of
Texas. The assets being sold represent all of Pioneer’s 100% working
interest in the field, including its producing wells and associated
infrastructure. Net production from this asset averaged approximately 7
MBOEPD during the fourth quarter of 2017, consisting of oil (20%), NGLs
(55%) and gas (25%).
Pioneer expects to open data rooms for the planned divestitures later in
the first quarter of 2018.
Timothy L. Dove, President and CEO, stated “I want to personally thank
all of our South Texas, Raton and West Panhandle employees for their
commitment and dedication to the continuing strong performance of these
assets. They have created significant value for our shareholders over
the many years we have owned these assets. After these divestitures are
completed, Pioneer’s operations will be solely in the Permian Basin.”
Pioneer is a large independent oil and gas exploration and production
company, headquartered in Dallas, Texas, with operations in the United
States. For more information, visit www.pxd.com.
Except for historical information contained herein, the statements in
this news release are forward-looking statements that are made pursuant
to the Safe Harbor Provisions of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements and the business
prospects of Pioneer are subject to a number of risks and uncertainties
that may cause Pioneer's actual results in future periods to differ
materially from the forward-looking statements. These risks and
uncertainties include, among other things, volatility of commodity
prices, government regulation or action, the ability to obtain approvals
from governmental agencies or other third parties and negotiate
agreements with third parties on mutually acceptable terms, completion
of planned divestitures and litigation. These and other risks are
described in the Company's Annual Report on Form 10-K, Quarterly Reports
on Form 10-Q and other filings with the Securities and Exchange
Commission. In addition, the Company may be subject to currently
unforeseen risks that may have a materially adverse impact on it.
Accordingly, no assurances can be given that the actual events and
results will not be materially different than the anticipated results
described in the forward-looking statements. Pioneer undertakes
no duty to publicly update these statements except as required by law.
View source version on businesswire.com: http://www.businesswire.com/news/home/20180206005999/en/
Copyright Business Wire 2018
Source: Business Wire
(February 6, 2018 - 4:05 PM EST)
News by QuoteMedia
www.quotemedia.com